Leading the future through innovation, moving forward with responsibility
BMW releases sustainability report in China for the 11th consecutive year

• Long-term commitment: Transparent sustainability reporting for eleven consecutive years.
• Responsibility first: Empowering talent for electrification and maintaining consistent CSR programs.
• Circular economy: Continuously improving efficient water use for 6 consecutive years; aiming for zero landfill waste across all vehicle plants by 2024; closed-loop recycling of retired batteries from all BMW electric models in China.
• Customer-centric: Safety first and quality first, offering users “BMW selected” products and services.

(Beijing) On July 15, 2024, the “BMW Group China Sustainability Report 2023” (hereinafter referred to as “Report”) was officially released. The report comprehensively presents BMW's decisive actions in sustainable development, highlighting its latest progress in products and customer services, intelligent manufacturing, low-carbon supply chain initiatives, talent development, and corporate social responsibility.

Mr. Sean Green, President and CEO of BMW Group Region China, stated, “Since the release of the first sustainability report in China in 2013, we have consistently shared innovative sustainable development practices with the public, spanning 11 years. Amidst short-term market fluctuations, we steadfastly adhere to the company’s long-term strategy, continually creating value for our customers and focusing on demanding but worthwhile things – to provide our customers with a joyful, intelligent and responsible mobility.”

Focusing on customer experience: Safety first, quality first

Even amidst the fast-changing industry and the emergence of new technologies, BMW has faithfully maintained a customer-centric approach and a commitment to fulfilling the diverse needs of its users. In 2024, more than 20 new and upgraded BMW and MINI models will be introduced in China. Regardless of how the car is powered, BMW always places top priority on safety and quality, adhering to rigorous standards to provide its customers with a premium mobility experience in a responsible way.

BMW believes that sustainable products are a combination of innovative technology and brand value. For example, for the all-new BMW i5, BMW conducted 994 software tests and 155 hardware tests to guarantee battery safety—well above the industry standard. The premium “Frozen Pure Grey” paint finish is meticulously inspected in the paint shop using automatic optical inspection (AOI) device, which takes more than 100,000 photos for each painted car body. The process can detect defects such as impurities, fibers, and scratches with a precision of 0.01 mm. To enhance driving comfort, the high-quality eco-friendly material Veganza is used, which contributes to maintaining good air quality inside the vehicle even at high temperature reaching 65℃. With its outstanding performance in safety, health, energy efficiency, and low carbon emissions, the all-new BMW i5 receives five-star ratings from both the China New Car Assessment Program (C-NCAP) and the China Green Car Assessment Program (C-GCAP).

The Neue Klasse, heralding a new era for the BMW brand, is set for a global launch in 2025. To prepare for local production, BMW continues to invest in China by upgrading its R&D and production system. In 2023, the new Shanghai R&D center and the second phase of the Shenyang R&D center expansion project were officially launched; the Sixth-Generation Battery Project with an investment of 10 billion RMB is progressing on schedule, with the main building completed last November, and the installation of equipment has been underway since this March. In April of this year, BMW announced an additional 20 billion RMB investment for the large-scale upgrade of facilities and technologies of its Shenyang production base, ensuring its readiness for the local production of the upcoming Neue Klasse models in 2026.

In addition to launching new products, BMW is speeding up the construction of a “customer-centered” charging service system. As of the first half of 2024, the BMW public charging network comprises more than 700,000 public charging pillars that meet the company’s charging standards, covering more than 320 cities nationwide. In 2023, “plug-and-charge” orders completed through MyBMW App rose by more than 300%.

Dealers play an important role in sustainable customer service. BMW has actively advocated for the transformation of dealers through the “BMW Network Transformation Green Star” program. By the end of 2023, more than 250 BMW dealers had obtained the “Green Star” certification. Currently, the closed-loop recycling for retired high-voltage batteries has covered all BMW electric models sold in China. In order to provide customers with more convenient battery recycling services, more than 80% of BMW dealers nationwide have set up battery recycling service outlets that meet national standards by the first half of 2024. It is expected that all BMW dealerships will be equipped with such infrastructure by end of 2024.

Sustainable intelligent manufacturing: less consumption and higher efficiency

Throughout its history, present and future, BMW has consistently set high standards in automobile manufacturing. Through innovative thinking and new technologies, BMW's Shenyang production base uses every kilowatt hour of electricity and every drop of water efficiently, treats every gram of waste using scientific methods, and produces each BMW car sustainably.

In terms of resource utilization, BMW is continuously moving towards closed-loop water systems and expanding use cases for reclaimed water. In 2023, the water consumption per vehicle produced in Shenyang marked a 6th consecutive year of decline, reaching 1.72 m³/unit(2018:2.47 m³/unit), less than the capacity of a 1.2x1.2x1.2 cubic-meter fish tank. At the same time, BMW strives to reduce waste generation at its source and manage waste appropriately through recycling until the “final stage” of its lifecycle. With this mindset, the Powertrain Plant achieved zero landfill waste in January 2023. All vehicle plants aim to achieve zero landfill waste from 2024.

Since 2019, all the electricity used for BMW vehicle production at the Shenyang production base is renewable electricity. In 2023, the on-site capacity of solar PV installation achieved 89.8 MWp across the Shenyang base, up by 21% from 2022(2022:74.4 MWp). Moreover, BMW actively explores additional clean energy sources such as geothermal and biomethane gas to diversify its renewable energy portfolio. Meanwhile, the Smart Energy System, extending its management beyond plant and workshop levels into individual operating areas, monitors and assists to optimize the consumption of five key resources in real time, including water, electricity, and gas. Thanks to multiple initiatives in the transition towards low-carbon production, BMW Brilliance’s CO₂ emissions per vehicle produced in 2023 were 0.18 t/vehicle, marking a 5.3% decrease compared to the previous year(2022:0.19 t/vehicle).

If you want to go quickly, go alone. If you want to go far, go together. While improving sustainability of its own operations, BMW takes the leading role to work with upstream and downstream partners to reduce carbon footprint across the entire value chain. In 2023, all of BMW Brilliance’s high-voltage battery cell suppliers’ self-production in China have adopted renewable electricity. Through close cooperation with local suppliers, a total of over 82,000 tons of scrap steel and over 1,000 tons of raw materials from retired high-voltage batteries were recycled throughout the year.

Grow with China: contributing to talent development and social wellbeing

At home in China with a steadfast promise, we invest in China to achieve a win-win future. Since 2010, BMW has invested a total of 105 billion yuan in the Shenyang production base. BMW Brilliance has been the largest taxpayer in Shenyang for 18 consecutive years. The win-win story of BMW and Shenyang has become an exemplary case of the close cooperation between China and Germany.

As the automotive industry transforms towards electrification, BMW remains committed to empowering its workforce. By the end of 2023, more than 8,000 employees had completed high-voltage battery operation certification training. In total, more than 11,000 sales consultants, service consultants, and technicians had obtained new-energy related certifications, cultivating high-level service teams for customers.

Sustainability isn’t just about being green and low carbon, it’s also about the harmonious development of people, the environment and society. In terms of corporate social responsibility, the company has conducted “BMW Children's Traffic Safety Education” for 20 years, aiding children in increasing awareness of traffic safety, and “BMW China Culture Journey” for 18 years, focusing on the protection of intangible cultural heritage. In 2024, the company launched “Grand Canal Cultural Protection and Education Public Welfare Project” to contribute to conserving both the tangible and intangible heritage of the Grand Canal, alongside promoting its culture. “BMW Beautiful Homeland Initiative”, launched in 2021, has played a crucial role in preserving China's biodiversity and supporting the construction of national parks. In 2023, the number of beneficiaries from BMW's CSR activities exceeded 35.5 million(2022:31.8 million), marking an 11% increase of from the previous year.

Dr. Franz Decker, President & CEO, BMW Brilliance Automotive Ltd., stated, “The definition of success is multifaceted, encompassing not only economic gains but also responsibilities. From environmental and cultural heritage protection to promoting local economic growth and talent cultivation, BMW consistently strives for higher goals-safeguarding our beautiful home and contributing to a better world.”